What is the legal ruling regarding reconciliation based on denial of the claim by the defendant?
General Chapter
Al-Mughni
Book of Settlement
Primary text
Reconciliation based on the defendant's denial of the claim, where they agree to pay a portion of the claimed amount, is generally valid. This position is held by Malik and Abu Hanifa. The evidence supporting this is the general statement of the Prophet, peace be upon him: "Reconciliation among Muslims is valid," which includes this case within its generality.
Supporting text
Al-Shafi'i maintains that reconciliation based on denial is invalid because it constitutes an exchange for something not proven to be owned by the claimant, akin to selling another's property, or because it is an exchange lacking consideration on one side. Furthermore, concerning the exception, "except for a reconciliation that permits the unlawful," the proponents of validity argue that this exception does not apply here, as the act of concession in reconciliation resolves potential prohibition related to establishing right, gift, or waiver, which is different from the absolute prohibitions intended by the Hadith (like enslaving a free person or trading in intoxicants).